NZTA Wellington Public Transport Revenue Targets: 2025 Updates

Wellington’s regional council has drawn a line in the sand over public transport funding targets — and the numbers tell a story of tension between central government’s ambitions and what the city says is realistic. Greater Wellington Regional Council adopted its interim private share targets on 10 April 2025, choosing a lower bar than the 42% goal NZTA Waka Kotahi originally proposed. The result is a policy clash with real stakes for commuters: higher fares, service cuts, or both.

Interim target FY2024/25: 23.9% ·
Interim target FY2025/26: 25.1% ·
Indicative target FY2026/27: 25.7% ·
Metlink fare increase from May 2026: 3.1% ·
NZTA proposed target by 2027: 42%

Here are the key figures that define the policy debate.

The gap between actual performance and the adopted interim targets means GWRC must generate new revenue or cut costs — and fare increases and service reductions are the main tools available.

What are NZTA Wellington public transport revenue targets?

The term driving this policy debate is “Private Share” — the proportion of public transport operating costs funded from private sources, primarily passenger fares and advertising revenue. Under the Government Policy Statement on Land Transport 2024, NZTA Waka Kotahi directed councils to increase their private revenue shares, sending formal letters to regional authorities with specific targets (NZ Herald).

Interim targets for FY2024/25 and FY2025/26

GWRC ultimately adopted interim targets of 23.9% for the 2024/25 financial year and 25.1% for 2025/26 — a significant step down from NZTA’s original 35% proposal for Wellington. The remaining portion of funding comes from public sources: rates, taxes, SuperGold card subsidies, and Community Connect schemes. Metlink, Wellington’s public transport operator, stated that these interim targets protect passengers from significant fare increases that would have accompanied the higher original target (Metlink).

Indicative target for FY2026/27

The indicative target for FY2026/27 sits at 25.7%, with stretch targets reaching 33% by FY 2033/34. What this means practically: Wellington faces years of incremental pressure to grow farebox revenue and non-fare private income. Advertising revenue, for instance, is constrained at approximately $2.5 million for 2024-25, making the original 35% target mathematically unachievable without substantial fare hikes or service cuts (Free Fares NZ Submission).

Can you live in Wellington without a car?

For Wellington residents, the question of car-free living is increasingly tied to what happens to Metlink services under these revenue targets. The city’s public transport network — trains, buses, and ferries — is core to the Wellington Regional Public Transport Plan 2025-2035, which addresses growth in Wellington and Horowhenua over 30 years (GWRC Wellington RPTP).

Public transport options in Wellington

Wellington’s rail network provides decent coverage for a city of its size, with the Metlink system serving over 14 million passenger trips annually in recent years. The multi-party funding model involves Crown contributions, NZTA, Greater Wellington, KiwiRail, and Transdev, reflecting the complexity of keeping the network running (GWRC Metlink 2025 Asset Management Plan).

Challenges for car-free living

Public feedback on the draft Regional Public Transport Plan highlighted affordability concerns, with paid Park and Ride and fare levels identified as barriers to equitable public transport access. The proposed service cuts — withdrawing or merging up to 50 bus services, including 10 After Midnight routes and 11 school services — would narrow options for those without cars (Free Fares NZ Submission).

Is the train fare going up in Wellington?

Yes — but by how much depends on which services survive the revenue pressure. Metlink fares are set to increase by 3.1% from 15 May 2026, and that’s just the headline number. The off-peak discount will drop from 50% to 30%, effectively raising off-peak fares by 43% for travelers who previously relied on cheaper shoulder-period tickets (Free Fares NZ Submission).

Metlink fare increase details

The 3.1% increase follows GWRC’s planned 2.2% fare increase for 2025-26 as part of its strategy to meet the 25.1% private share target. Achieving the original 35% target, by contrast, was estimated to require a 39% revenue increase — a figure GWRC called unachievable without either dramatically cutting costs or raising fares far more steeply.

Tips to maximize your savings before fares rise

Commuters who currently use off-peak discounts should act before May 2026 to lock in the 50% reduction while it still applies. Monthly and multi-trip passes may also offer better value for regular travelers facing the dual pressure of higher base fares and reduced discounts.

Impact on revenue targets

The fare increase alone won’t close the gap. GWRC has outlined service cuts including halving new bus purchases, deferring bus electrification, and cancelling on-demand services to hit its numbers. These measures trade long-term capability for short-term savings — bus electrification delays, in particular, contradict broader emissions goals.

How many people use public transport in NZ?

New Zealand’s public transport usage varies significantly by region, with Auckland handling the largest volume of trips while Wellington punches above its weight relative to city size. Nationally, public transport faces rising costs that NZTA says shift the burden to ratepayers and taxpayers (NZ Herald).

Wellington usage stats

Wellington’s Metlink services recorded approximately 20.5% private share in 2023-24, a figure NZTA deemed insufficient under its new direction. The interim targets represent a meaningful increase — from 20.5% to 23.9% in one year — pushing operators to maximize farebox revenue.

National trends

Auckland faces steeper targets: NZTA proposed 34% private share for Auckland Council for 2025-26, above the projected 30.2%. Auckland’s option to raise to 32.2% would require an estimated $10.6 million shortfall, met by removing the $50 fare cap and implementing further fare increases. Auckland 32.2% target requires $34.8 million in cost cuts via removing 25-30 bus services and some ferries — a 17% service reduction (Free Fares NZ Submission).

Is public transport good in New Zealand?

The answer depends heavily on where you live and whether Wellington’s Metlink targets result in the service cuts currently planned. The policy debate frames the question as one of trade-offs: higher revenue targets mean either more money from passengers (fares) or fewer services (cuts), and Free Fares NZ argues that both options increase the cost of living.

Wellington strengths and issues

Wellington’s rail network is generally regarded as reliable and well-integrated, but the bus network faces ongoing challenges. GWRC transport chairman Thomas Nash warned that without the interim targets acting as a buffer, fares could have risen by 71% — a figure that underscores how high the original NZTA asks were. The interim targets, while lower, still require significant adjustments to fares and services.

Driver shortages and fares

One factor complicating revenue collection is bus driver availability. Shortages affect service frequency and reliability, which in turn affects ridership and farebox revenue — creating a potential downward spiral if targets remain fixed. Whether GWRC can hire and retain sufficient drivers through 2026 will be a key variable in whether the 25.1% target is actually achieved.

What people are saying

Metlink passengers will be protected from significant fare increases by interim Private Share targets adopted today by Greater Wellington.

— Metlink (operator announcement, 10 April 2025)

Greater Wellington’s transport chairman Thomas Nash warned of a potential 71% fare increase, worsening the cost-of-living crisis.

— Thomas Nash, GWRC Transport Chairman (NZ Herald)

Rising public transport costs shift the burden to ratepayers and taxpayers.

— Simeon Brown, Transport Minister (NZ Herald)

Related reading: Wellington City Council Social Housing Deal

Amid NZTA revenue target pushback and Metlink fare rises, the Upper Hutt train timetable provides crucial schedules for Hutt Valley Line commuters planning ahead.

Frequently asked questions